The French Social and Solidarity Economy: Historical Evolution, Theoretical Origin, Institutional Innovation, and the Global Echo

Abstract: The adoption of the French Social and Solidarity Economy (SSE) Law in 2014 marks the recognition and support at the national level of this economic model spontaneously created by civil society as an important part of its national economy. With “cooperatives, associations, mutuals, foundations and social enterprises” as the main forms of organization, and the theories of “social economy” and “utopian socialism” as the ideological source, complementing to that of the laissez-faire market economy proposed by Adam Smith, the SSE is committed to reflecting on the shortcomings of the laissez-faire capitalist market economy and to building a model of economic development characterized by symbiosis, co-construction, and sharing on the basis of seeking social utility. The development of the SSE has largely made up for the absence of the state and the market, and has become a driving force for stimulating institutional innovation and optimization of both of them. The SSE in France is part of a global solidarity economy movement that pursues innovative economic development models. The resilience of the French SSE in the face of such major economic fluctuations as the economic and financial crisis of 2008 has led to an international consensus on the reform of the laissez-faire or neoliberal development model and the creation of a sustainable and inclusive development path.